Why is Tata Elxsi falling/rising?

As of 28-Jul, Tata Elxsi Ltd. is experiencing a decline in its stock price, currently at 6,033.95, reflecting a decrease of 29.9 points or 0.49%. The stock has been on a downward trend, having fallen consecutively for the last three days, resulting in a total decline of 3.06% during this period. Over the past week, the stock has underperformed the Sensex, with a return of -2.82% compared to the benchmark's -1.59%. Additionally, the stock's performance over the past month shows a decrease of 4.81%, while year-to-date, it has dropped 11.46%. Despite these short-term declines, the company maintains strong long-term fundamentals, evidenced by an average Return on Equity (ROE) of 31.37% and a low Debt to Equity ratio, which supports its valuation.
In the broader market context, Tata Elxsi's recent performance contrasts with the Sensex, which has shown a positive return of 3.52% year-to-date. The stock's liquidity appears adequate, with a delivery volume that, although down by 23.01% compared to the five-day average, still allows for trades of significant size. The high institutional holdings at 21.27% suggest that knowledgeable investors are backing the company, which could provide some stability. However, the stock's recent underperformance and falling investor participation may indicate a lack of confidence among retail investors, contributing to its current price decline.